2 What is Management?The planning, organizing, leading, and controlling of human and other resources to achieve organizational goals effectively and efficiently

3 ManagersThe people responsible for supervising the use of an organization’s resources to meet its goalsResources include people, skills, knowledge, machinery, computers and I.T., and financial capital

4 Organizational performanceA measure of how efficiently and effectively managers are using organizational resources to satisfy customers and achieve goals

5 Organizational performanceEfficiencyA measure of how well or productively resources are used to achieve a goalEffectivenessA measure of the appropriateness of the goals an organization is pursuing and the degree to which they are achieved.

7 Managerial FunctionsManagers at all levels in all organizations perform each of the functions of planning, organizing, leading, and controllingHenri Fayol outlined the four managerial functions in his book General Industrial Management

10 Steps in the Planning ProcessDeciding which goals to pursueDeciding what courses of action to adoptDeciding how to allocate resources

11 OrganizingThe process of establishing a structure of working relationships in a way that allows organizational members to work together to achieve organizational goals

12 Organizational StructureA formal system of task and reporting relationships that coordinates and motivates organizational membersOften represented visually by a company’s organizational chart

13 LeadingArticulating a clear vision to follow, and energizing and enabling organizational members so they understand the part they play in attaining organizational goals

14 ControllingEvaluating how well an organization is achieving its goals and taking action to maintain or improve performanceThe outcome of the control process is the ability to measure performance accurately and regulate efficiency and effectiveness

15 Types of ManagersFirst line managers - Responsible for day-to-day operations. Supervise people performing activities required to make the good or serviceMiddle managers - Supervise first-line managers. Are responsible to find the best way to use departmental resources to achieve goals

16 Types of ManagersTop managers - Responsible for the performance of all departments and have cross-departmental responsibility. Establish organizational goals and monitor middle managers

17 Areas of Managers DepartmentA group of people who work together and possess similar skills or use the same knowledge, tools,or techniques

18 Changes in Managerial HierarchiesThe tasks and responsibilities of managers have changed drastically in the last decade as a result of the widespread use of IT and stiffer global competitionGeneral tendencies toward leaner and flatter organizations

19 Changes in Managerial HierarchiesRestructuring – an attempt to make an organization more efficient by eliminating the jobs of large numbers of peopleOutsourcing – contracting with another company, usually (but not always) abroad, to have it perform an activity the company once performed itself

20 EmpowermentExpanding employees’ knowledge, tasks, and responsibilitiesOften by providing new software and systems for employees’ use as decision-making toolsAlso, the adoption of new philosophies about job responsibilities and authorityEspecially necessary when layers of management are being reduced

21 Self-managed teamsGroups of employees with the responsibility for supervising their own actions such that the team can monitor its members and the quality of the work performed

22 Managerial Roles and SkillsManagerial role - The set of specific tasks that a person is expected to perform because of the position he or she holds in the organizationMintzberg identified three categories of roles – Decisional, Informational, Interpersonal

23 Decisional RolesRoles associated with the methods managers use in planning strategy and utilizing resources.Entrepreneur—deciding which new projects or programs to initiate and to invest resources in.Disturbance handler—managing an unexpected event or crisis.Resource allocator—assigning resources between functions and divisions, setting the budgets of lower managers.Negotiator—reaching agreements between other managers, unions, customers, or shareholders.

24 Informational RolesRoles associated with the tasks needed to obtain and transmit information in the process of managing the organization.Monitor—analyzing information from both the internal and external environment.Disseminator—transmitting information to influence the attitudes and behavior of employees.Spokesperson—using information to positively influence the way people in and out of the organization respond to it.

25 Interpersonal RolesRoles that managers assume to provide direction and supervision, both to employees and to the organization as a whole.Figurehead—symbolizing the organization’s mission and what it is seeking to achieve.Leader—training, counseling, and mentoring high employee performance.Liaison—linking and coordinating the activities of people and groups both inside and outside the organization.

26 Managerial Skills Conceptual skills Human skills Technical skillsThe ability to analyze and diagnose a situation and distinguish between cause and effect.Human skillsThe ability to understand, alter, lead, and control the behavior of other individuals and groups.Technical skillsThe specific knowledge and techniques required to perform an organizational role.

28 CompetenciesSpecific set of skills, abilities, and experiences that gives one manager the ability to perform at a higher level than another manager in a particular organizational settingNOTE: This is different from the idea of core competencies we talk about when we refer to the area of strategic management

29 Challenges for Management in a Global EnvironmentRise of Global Organizations.Building a Competitive AdvantageMaintaining Ethical and Socially Responsible StandardsManaging a Diverse WorkforceUtilizing Information Technology and E-commerce